BUSINESS DIGEST

Published: January 7, 1992

The Economy

U.S. auto sales finished 1991 on a positive note, as expected, capping the weakest year since 1983. Sales of U.S.-made cars and light trucks rose 7.7 percent in the Dec. 21-31 period but were off 11.2 percent for the year. [ Page D1. ]

Many Dominican grocery store owners have followed a quick but steep route to success, often planting their stores in tough neighborhoods where leading chains have pulled out. [ D1. ]

Dismayed by low prices for oil and natural gas, many energy companies say it makes more sense to buy than to drill. [ D6. ]

Ending the double taxation of dividends was called for by the Treasury, which said the practice reduces output by up to $25 billion a year. [ D7. ]

The F.D.A. asked all doctors to stop inserting silicone breast implants, and all manufacturers to stop supplying them, because of new concerns about their safety. [ A1. ]

Moody's downgraded the rating on most New York State bonds, leaving it with the second-lowest rating of all states. [ A1. ] Companies

Public utility companies nationwide are applying for substantial rate increases to finance the expensive medical benefits they have promised to current and future retirees. [ D1. ]

LSI Logic became Sematech's first founding member to drop out, citing disagreements with the group's agenda. [ D1. ]

A.T.& T. will start selling a mass-market videophone for $1,500, about one-twentieth the cost of equipment meant for big corporations, in May. [ D1. ]

Cadillac took the wraps off a powerful new multivalve engine, the "Northstar," which is intended to make the G.M. division more competitive with German and Japanese luxury car makers. [ D2. ]

Unions began a drive to delay McDonnell Douglas's plan to sell a stake in its commercial aircraft business to Taiwan. [ D2. ]

Baker Hughes has agreed to buy Teleco Oilfield Services from Sonat for $200 million in cash, plus stock and royalties. [ D4. ] International

As President Bush arrived in Tokyo, negotiators for the U.S. and Japan were in sharp disagreement over an American demand for higher Japanese targets for buying American automobiles and parts. [ A1. ]

The 100 most powerful people in sports include eight executives from consumer-marketing giants and advertising agencies, according to a list compiled by The Sporting News. Stuart Elliott: Advertising. [ D18. ]